Publication: Cape Times Issued: Date: 2007-10-19 Reporter: Chiara Carter

Arms Deal is Threatening to Blow Up Again as German Investigators Target SA

 

Publication 

Cape Times
Date

2007-10-19
Reporter Chiara Carter

Web Link

 www.capetimes.co.za

 

The Justice Department has confirmed it has received a potentially explosive German request for help in probing alleged multi-million rand kickbacks in the controversial arms deal.

Justice Ministry spokesperson Zolile Nqayi said yesterday the formal request for mutual legal assistance was with the department.

He said the request was still being processed and denied widespread behind-the-scenes speculation that the matter had already been referred to the SA Police Service, not the National Prosecuting Authority, which has prior experience with probing the arms deal.

The request has long been anticipated amid speculation it could prove a hot potato for the ruling party, possibly opening a Pandora's box that - nearly a decade after the arms deal - many in government would prefer to be slammed shut *1.

It has now surfaced on the eve of the ANC's crucial national conference and at the very time that NPA head Vusi Pikoli is suspended pending an inquiry into his fitness to hold office, while the Scorpions' investigation into National Police Commissioner Jackie Selebi is being reviewed.

Some have suggested that several senior government and ANC leaders were not happy about Pikoli's independent approach, including on the question of whether to recharge ANC Deputy President Jacob Zuma and the possibility of the Scorpions further probing so far little-explored aspects of allegations about corruption in the country's arms deal.

Reports on the German investigation have suggested that even President Thabo Mbeki himself might have some questions to answer.

Then there is the position of Tony Georgiadis, a shipping magnate who lobbied for German companies Thyssen and Ferrostaal in the arms deal.

Georgiadis was allegedly a sanctions-buster in the apartheid era and formerly close to *2 ex-president FW de Klerk, who is now married to Georgiadis's ex-wife, Elita.

Georgiadis later reportedly developed relationships with influential *2 ANC figures including former justice minister Penuell Maduna, former NPA boss Bulelani Ngcuka and Mbeki himself.

The German request for South African assistance comes after German investigators last year conducted several raids at companies linked to the German Frigate Consortium that won the contract in South Africa.

A similar mutual legal assistance request was previously made to South Africa by Britain where investigators have been probing "commissions" allegedly paid by another arms deal company, BAE Systems.

British investigators visited South Africa in June.


With acknowledgements to Chiara Carter and Cape Times

 

*1       Some of those among would prefer to be slammed shut - he's said it himself - the RSA investigation is over, it makes no difference what the British SFO and German investigators find.


*2      The troughs are still the same, it's only the pigs that have changed.